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Which country is the best alternative for investment, according to MNCs?

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a

Singapore

b

India

c

Japan

d

China

answer is D.

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Detailed Solution

China is the best alternative for investment, according to MNCs.
Britain earlier colonised China, and in the Second World War, Japan threatened China. It was cut out from the post-world war economy. But then, a revolution came in 1949. Since wages in China were low, MNCs found it profitable to invest in China as labour would be working at lower wages. The population of China was also very high, so there was no problem for MNCs to find labourers. Since the population is high, manufactured goods will have a large market with a huge consumer base. Also, cheap labour will make MNCs' businesses more profitable.

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